A microgrid is defined as a small scale electricity system that is used to generate, distribute, and regulate the flow of electrical power. The microgrid system includes the distributed energy resources and multiple loads that allow it to other electrical grids and at the same time operate in a parallel power generation environment. The microgrid power system can generate power from renewable and non-renewable energy sources. Different types of microgrids exist. The first one called as true microgrid or customer microgrid which is self-governed has a regulatory structure and utilizes the current technology. The second type is the utility grid or community microgrid which involves the division of the regulated grid. The third grid is the virtual microgrid orvgrid. It covers the multiple site’s distributed energy resources and are coordinated such that they are presented as a single grid to the unit.

Scope & Regional Forecast of the Microgrid Technology Market

The Microgrid Technology Market is expected to grow more in compliance with the government norms pertaining to the greenhouse gas emissions. The concerns for energy security will drive the need for the microgrid design. The depleting resources which lead to a rise in the electricity generation costs have boosted the need for optimum utilization of energy resources. The shift towards optimized energy management will drive the expansion of microgrid power generation.

The requirements for safe and reliable electricity in hazardous areas will propel the growth of the Microgrid Technology Market. The power microgrid is equipped with quick restoration and secure on grid and off grid operations. However, the lack of regulatory support related to decentralized trading and ancillary services for congestion management will hinder the growth of microgrid technology. But utilities like S&C Electric US are driving the technology for microgrid establishments in the coming years.

MarketIntelReports (MIR) aims to empower our clients to successfully manage and outperform in their business decisions. We do this by providing Premium Market Intelligence, Strategic Insights and Databases from a range of Global Publishers.